Sebi asks mcx biz to return investors' money, imposes 10 year market ban

Sebi asks MCX Biz to return investors' money, imposes 10year market ban

STOCK MARKET regulator Sebi has asked MCX Biz Solutions and its proprietor Syed Sadaq to return the money collected from investors after finding them guilty of duping investors through false documents.

Besides, they have been barred from the securities markets for 10 years.

Sebi said the company allegedly solicited money from investors promising huge returns while using fake and forged broker

registration documents and a name similar to that of an exchange group.

The entity has no relation to the Multi Commodity Exchange (MCX).

The entities had also made representations and statements on their website about their activities in securities market in an "entirely untruthful manner".

They have allegedly raised more than Rs 35 lakh from investors through various schemes. "...Noticees (MCX Biz and Sadaq) by their the act and omissions including false statements and representations in deceitful manner, have fraudulently solicited, enticed and induced investors to deal in securities," Sebi Whole Time Member S Raman said in an order dated July 20.

By indulging in such activities, they have violated the provisions of PFUTP (Prohibition of Fraudulent and Unfair Trade Practice) Regulations, he added.

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ARTICLE SOURCE – BUSINESS STANDARD